What is Insurance - Insurance Info - Insurance Articles


What is the insurance where insurance is a system for lowering the loss of the financial risk of distributing the loss of a person or agency to another.
Agencies that distribute the risk as "Insured", and accept the risk that the body called the "underwriter". Agreement between the two bodies is called the policy: this is a legal contract explain each term and condition of the protected. Costs paid by the "Insured" to the "guarantor" for the risk borne by the "premium". This is usually determined by the "guarantor" for the funds that can be claimed in the future, administrative costs, and benefits.

Insurance Act No.2 Th 1992 on business insurance is an agreement between two or more parties, with which the insurer tie themselves to the Insured with insurance premiums, to provide reimbursement to the Insured for any loss, damage or loss of profits or the expected legal responsibility to third parties who may suffer Insured, arising from an event that is not certain, or provide a payment based on life or death that someone be.

For example, a couple buying a house worth Rp. 100 million. Knowing that they will lose their homes to bring them to financial ruin, they take the insurance policy in the form of home ownership. Policy will pay replacement or repair their homes when the disaster occurred. Insurance companies on their premiums as much as Rp1 million per year. The risk of losing the house has been distributed to the owner's home insurance companies.











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